Chinese gold purchases.

Discussion in 'Economy' started by william the wie, Aug 18, 2011.

  1. william the wie
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    william the wie Gold Member

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    They are increasing so where does the money come from to maintain the housing bubble? At the last count I saw, a minimum of eight ghost cities had been verified from orbit in China. All of its economic growth for several years has been in construction. So if money is diverted from making unneeded and often unusable buildings to building private gold hordes what happens to the housing bubble?
     
  2. Trajan
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    Trajan conscientia mille testes

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    probably just build more when they start to crumble or pay/finance people to fix them......in their command economy, they will put out whatever #'s they think they need to to hold on to power. the malls and office bldgs that are empty is 'growth', :lol:.....I have a feeling when they fall and they will eventually we will find out those 9 and 10% gdps were all bunk, by half in real terms.
     
  3. Toro
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    Toro Diamond Member

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    Same thing that happens to all housing bubbles - it ends badly.
     
  4. idb
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    idb Gold Member

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    It'll all become clear in China's end of year financial statement I'm sure.

    It'll list the USA as an asset - not a particularly high value one but an asset of China's nevertheless.
     
  5. william the wie
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    william the wie Gold Member

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    This is going to get rough.
     

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